As hyperscale digital infrastructure investment accelerates nationwide, Louisiana is taking a proactive approach to ensure major power-intensive development strengthens the state while protecting ratepayers, communities and resources.
Established by Gov. Jeff Landry, the Louisiana Ratepayer & Community Protection Initiative sets clear requirements for companies seeking Louisiana’s Data Center Sales and Use Tax Exemption and ensures protections are established upfront as the state competes for the next generation of large-scale investment.
A Strategic Approach to Digital Factory Investment
Louisiana Economic Development is transitioning the Data Center Sales and Use Tax Exemption into a strategic, invitation-only program for companies prepared to make significant, long-term commitments to Louisiana. To participate, companies must submit a detailed attestation demonstrating how they will meet the requirements of the Ratepayer & Community Protection Framework.
LED will coordinate across state agencies and with local partners to evaluate those commitments and ensure required protections are in place. Projects must also demonstrate support from the Louisiana Department of Conservation and Energy, Louisiana Public Service Commission, Louisiana Department of Environmental Quality, and their proposed energy provider.
Participating companies must establish measurable commitments, report progress to LED and remain accountable for delivering on those commitments throughout the life of the project.
Ratepayer & Community Protection Framework
Protecting Louisiana Ratepayers
Companies must demonstrate how project-related generation, transmission and infrastructure costs will be funded and what safeguards will prevent those costs from being shifted to existing residential and commercial customers.
Investing in Grid Resiliency & Long-Term Reliability
Companies must identify investments and strategies that strengthen Louisiana’s electric system and support long-term reliability and future industrial growth.
Supporting Louisiana Communities & Workforce Development
Companies must establish meaningful partnerships with Louisiana universities, colleges, schools and workforce providers to expand training, apprenticeships, internships and career pathways for Louisiana residents.
Contributing Meaningfully to Local Tax Bases
Companies must demonstrate how projects will generate sustainable local revenue and identify commitments to infrastructure and public services that support both the project and surrounding community.
Operating Responsibly with Louisiana’s Natural Resources
Companies must demonstrate how they will responsibly manage water use, energy and environmental impacts and protect Louisiana’s natural resources throughout the life of the project.
Advancing Community Investment
Companies must make meaningful, long-term commitments to host communities, including education, nonprofits, STEM, digital literacy, technology training and other locally identified priorities.
Strengthening Louisiana’s Innovation Economy
Companies must identify commitments that connect their investment to Louisiana startups, entrepreneurs, research institutions and technology companies.
Maintaining Transparency & Accountability
Companies must establish measurable commitments, track progress, report performance to LED and demonstrate how Louisiana contractors and vendors are being prioritized and incorporated into project activity.
Learn More About the Ratepayer & Community Protection Framework
Interested companies can reach out to their LED Business Development Project Manager or LED@la.gov.
Download the Ratepayer & Community
Protection Information
Read the full Ratepayer & Community
Protection Executive Order